Landlord wants £1,000 retainer

Twinkle_Star_5

<sebb> wrote: »

Good luck! Sounds like you'll need it! Make sure you sort out the tax issue with the HMRC ASAP. You really really don't want to be stuck with paying the LLs tax and potential fines from the HMRC.

Thanks. I suppose that the other thing I should be asking for is confirmation that he has the right to let the property. According to the Land Registry there is a mortgage on the property.

One more thing. The landlord is now saying that we cannot have the keys until the payments for the deposit and the first month's rent have cleared. Given that we were only able to sign the contract on the evening of Dec 31st (because his designated witness was unavailable for several days), and the banks have been closed since, we have not been able to transfer the money until Tuesday morning (which is when we are supposed to move in).

Is he legally allowed to demand that the money has cleared before we move in, or is the contract sufficient?

G_M

You've signed a contract, yes? So what date does it say it commences? That's the date you have the right to move in.

Twinkle_Star_5

G_M wrote: »

You've signed a contract, yes? So what date does it say it commences? That's the date you have the right to move in.

Yes we have signed it. It says that we can move in from January 4th.

I would expect the funds to clear first thing in the morning, because I usually find that transfers I make are immediate - but if they don't clear straightaway, and I can't get the keys, it is going to cause me a big headache.

Twinkle_Star_5

I've looked again at the mortgage lender information on the Land Registry and I've found the following:

The mortgage lenders are listed as:

FirstPlus Financial Group PLC
Barclays Bank PLC

The mortgage related restrictions are:

4 (Q4 2002) RESTRICTION: Except under an order of the registrar
no disposition by the proprietor of the land is to be registered
without the consent of the proprietor of the Charge dated Q4 2002 in favour of Barclays Bank PLC referred to in the
Charges Register.

5 (Q3 2007) RESTRICTION: No disposition of the registered estate
by the proprietor of the registered estate is to be registered
without a written consent signed by the proprietor for the time
being of the Charge dated Q2 2007 in favour of FirstPlus
Financial Group PLC referred to in the Charges Register.

The mortgage related charges are:

3 (Q2 2010) Proprietor: BARCLAYS BANK PLC (Co. Regn. No. 1026167)
of Standard Life Mortgages, Mortgages Department, P.O. Box 23966,
Edinburgh EH3 1BF.

4 (Q3 2007) REGISTERED CHARGE dated Q2 2007.

5 (Q3 2007) Proprietor: FIRSTPLUS FINANCIAL GROUP PLC (Co. Regn.
No. 3315543) of FirstPlus House, The Avenue Business Park,
Pentwyn, Cardiff CF23 8FF.


I can't see reference to any other mortgage lenders. I am a bit concerned, because on the FirstPlus Financial Website it says that loans are not available for investment or business purposes. I 'm not sure if that would prevent a letting/buy-to-let situation.

PNPSUKNET

Why is the deposit not going into a government bond? Thats not a buy to let mortgage. I would also request a copy of the new gas safety certificate.

N79

Twinkle_Star wrote: »

Thanks. I suppose that the other thing I should be asking for is confirmation that he has the right to let the property. According to the Land Registry there is a mortgage on the property.

One more thing. The landlord is now saying that we cannot have the keys until the payments for the deposit and the first month's rent have cleared. Given that we were only able to sign the contract on the evening of Dec 31st (because his designated witness was unavailable for several days), and the banks have been closed since, we have not been able to transfer the money until Tuesday morning (which is when we are supposed to move in).

Is he legally allowed to demand that the money has cleared before we move in, or is the contract sufficient?

I think you are sailing into a storm of problems with this tenancy but since you seem intent on finding out how rough things will get thats your business.

However, I can confirm that requiring the deposit and first period of rent in cleared funds before handing over possession is not dodgy (unlike nearly everything else you have posted about) and is a fairly standard tenancy term.

BitterAndTwisted

What "Government Bond" are you talking about? The deposit-protection scheme which the landlord has 14 days after receipt to inform the tenant about which one it is lodged with? This landlord hasn't even received it yet!

G_M

G_M wrote: »

You've signed a contract, yes? So what date does it say it commences? That's the date you have the right to move in.

I take back my post above! A contract only becomes binding when 'consideration' takes place. In this case, the 'consideration' on one side is the property. On the other side, the 'consideration' is the rent. Since neither has yet changed hands, the contract is not binding.

However, if you do not get access on the originally agreed date, your rental period should be adjusted accordingly.